Finally, if you are currently participating in a cash donation program or have participated in a cash donation program in the past, remember that you are also required to report any income you have received to the Internal Revenue Service. Despite all the promises made to you by those who operate money donation systems, the income from a donation pyramid is taxable. Therefore, in addition to consulting a private lawyer, you should also consider talking to a professional tax advisor about your situation. No, because it is obviously illegal. Pretending that something is illegal is not a defense against a crime. O.C.G.A 16-12-28 clearly states that “no one may establish, promote, operate or participate in a pyramid scheme of support”. The main difference between a multi-level legal marketing plan and an illegal pyramid scheme is that a multi-level marketing plan bases remuneration almost entirely on the amount of product sold, while an illegal pyramid scheme is based on the number of people recruited. In a cash donation system, the “donation” is also based solely on the number of newly recruited members and no products or services are sold. Planning a Medicaid application can be a complex process.

The income-to-wealth ratio, marginal amounts, gift allowances, homes, and appropriate spending measures must all work together to provide the best-case scenario that will allow someone to apply for and qualify for Medicaid without imposing such restrictions too soon. At Grissom Law, we look at each client`s situation to determine which planning techniques offer the best benefits to Medicaid applicants and their families. Call 678-781-9230 to schedule a consultation to consider your options. It`s hard not to be sold on the altruistic and cultural history of the penny, also known as “Susu, loom” or “gift circle.” Proponents present sou-sou as a common practice among Caribbean and African immigrants to help their businesses grow. Briscoe was told she would help other blacks, some of whom may have lost their jobs because of the coronavirus. Organizers continue to create new names for gift clubs, such as “Friends Helping Friends,” “Women Empowering Women,” “Airplane,” and “Pit Stop,” but these clubs all operate in the same way and are all illegal. When someone asks you to join a gift club, don`t fall into the trap of their high-pressure sales tactics or high-income stories. Not only is such a Ponzi scheme illegal in Michigan, but participating in it can also put you at risk of identity theft. When you sign up, you provide some of your personal information, and with it, your secret sister a/k/a cyber thief can commit identity theft. Claim: This program is legal. Fact: Gift clubs are criminal enterprises.

The organizers are guilty of a crime and the participants are guilty of a misdemeanour. Gifts from third parties during marriage that are clearly addressed to an individual spouse and not to the conjugal union are simple. If a family member (other than your spouse) or a third party has given the property only to you – for example, shares, bonds, money or real estate, or if you have inherited them – and you have never mixed the funds into a joint matrimonial account or transferred those funds to a joint matrimonial account or ownership of real estate obtained by gift or inheritance, transferred to your spouse, then it is a separate property. However, if the property was mixed or you put your spouse on the title, you probably made this asset out of wedlock. See Lerch v. Lerch, 278 Ga. 885, 608 p.E.2d 223 (2005). But despite the assurances of the promoters, these circles of blessings, pennies or gifts are illegal. For those interested in donating assets under the federal gift tax exemption, or for those who need to file an IRS donation tax return, Siedentopf Law will be happy to help. You can visit our website EstateLawAtlanta.com or call us at (404) 736 – 6066. Medicaid is a needs-based program that requires the recipient in Georgia to prove that they need financial assistance at income and asset limits.

More information on these requirements can be found here. Most people have more income and wealth than the limits, but not enough to help them spend the full care time they will need, and they give assets to qualify. Since Medicaid has a 5-year (or 60-month) exam, all gifts against the applicant are counted. However, donation is not illegal, and being penalized for these gifts and transfers remains a good idea in some scenarios. .